NAVIENT CORPNAVI

NAVIENT CORP Debt Disclosure

10-KFiled Feb 26, 20267 min read

6. Borrowings

Borrowings consist of secured borrowings issued through our securitization program, borrowings through secured facilities, and unsecured notes issued by us.

The following table summarizes our borrowings.

 

 

December 31, 2025

 

 

December 31, 2024

 

(Dollars in millions)

 

Short
Term

 

 

Weighted Average
Interest Rate(8)

 

 

Long
Term

 

 

Weighted Average
Interest Rate(8)

 

 

Total

 

 

Short
Term

 

 

Weighted Average
Interest Rate(8)

 

 

Long
Term

 

 

Weighted Average
Interest Rate(8)

 

 

Total

 

Unsecured
   borrowings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Senior unsecured
   debt

 

$

525

 

 

 

6.71

%

 

$

4,782

 

 

 

6.73

%

 

$

5,307

 

 

$

553

 

 

 

6.64

%

 

$

4,806

 

 

 

6.61

%

 

$

5,359

 

Total unsecured
   borrowings

 

 

525

 

 

 

6.71

 

 

 

4,782

 

 

 

6.73

 

 

 

5,307

 

 

 

553

 

 

 

6.64

 

 

 

4,806

 

 

 

6.61

 

 

 

5,359

 

Secured borrowings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Private Education
   Loan
   securitizations(1)

 

 

469

 

 

 

6.98

 

 

 

10,250

 

 

 

3.66

 

 

 

10,719

 

 

 

631

 

 

 

7.76

 

 

 

10,338

 

 

 

3.50

 

 

 

10,969

 

FFELP Loan
  securitizations(2)(3)(4)

 

 

109

 

 

 

6.78

 

 

 

25,302

 

 

 

4.77

 

 

 

25,411

 

 

 

41

 

 

 

6.01

 

 

 

28,268

 

 

 

5.53

 

 

 

28,309

 

Private Education
   Loan ABCP
   facilities(5)

 

 

1,942

 

 

 

5.09

 

 

 

—

 

 

 

—

 

 

 

1,942

 

 

 

2,274

 

 

 

5.93

 

 

 

—

 

 

 

—

 

 

 

2,274

 

FFELP Loan
   ABCP facilities(5)

 

 

1,869

 

 

 

4.89

 

 

 

299

 

 

 

4.73

 

 

 

2,168

 

 

 

1,586

 

 

 

5.62

 

 

 

74

 

 

 

5.46

 

 

 

1,660

 

Other(6)

 

 

160

 

 

 

4.32

 

 

 

39

 

 

 

5.50

 

 

 

199

 

 

 

54

 

 

 

4.81

 

 

 

40

 

 

 

5.50

 

 

 

94

 

Total secured
   borrowings

 

 

4,549

 

 

 

5.21

 

 

 

35,890

 

 

 

4.45

 

 

 

40,439

 

 

 

4,586

 

 

 

6.06

 

 

 

38,720

 

 

 

4.99

 

 

 

43,306

 

Total before hedge
   accounting
   adjustments(7)

 

 

5,074

 

 

 

5.37

 

 

 

40,672

 

 

 

4.72

 

 

 

45,746

 

 

 

5,139

 

 

 

6.12

 

 

 

43,526

 

 

 

5.17

 

 

 

48,665

 

Hedge accounting
   adjustments

 

 

(1

)

 

 

—

 

 

 

(39

)

 

 

—

 

 

 

(40

)

 

 

(5

)

 

 

.01

 

 

 

(342

)

 

 

.04

 

 

 

(347

)

Total

 

$

5,073

 

 

 

5.37

%

 

$

40,633

 

 

 

4.73

%

 

$

45,706

 

 

$

5,134

 

 

 

6.13

%

 

$

43,184

 

 

 

5.21

%

 

$

48,318

 

 

 

(1)
Includes $469 million and $631 million of short-term debt related to the Private Education Loan ABS repurchase facilities (Private Education Loan Repurchase Facilities) as of December 31, 2025 and 2024, respectively.
(2)
Includes $109 million and $41 million of short-term debt and $0 million and $87 million of long-term debt related to the FFELP Loan ABS repurchase facilities (FFELP Loan Repurchase Facilities) as of December 31, 2025 and 2024, respectively.
(3)
Includes $1.2 billion and $1.3 billion of non-U.S. dollar-denominated debt as of December 31, 2025 and 2024, respectively, which has been hedged with swaps converting to U.S. dollars.
(4)
Includes defaulted FFELP secured debt tranches with a remaining principal amount of $1.1 billion as of December 31, 2025 as a result of not maturing by their respective contractual maturity dates. Notices were delivered to the trustee, rating agencies and bondholders alerting them to these maturity date defaults. At this time, it is expected the bonds will be paid in full between 2027 and 2037. There is no impact to the principal amount owed or the coupon at which the bonds accrue, and there is no revised contractual maturity date.
(5)
ABCP facilities include $2.4 billion and $1.3 billion of gross issuances in the years ended December 31, 2025 and 2024, respectively, and $2.3 billion and $1.4 billion of gross paydowns in the years ended December 31, 2025 and 2024, respectively.
(6)
“Other” primarily includes repurchase obligations and cash collateral held related to derivative exposures.
(7)
Includes $26.4 billion and $30.0 billion of long-term floating rate debt as of December 31, 2025 and 2024, respectively, and $14.2 billion and $14.0 billion of long-term fixed rate debt as of December 31, 2025 and 2024, respectively.
(8)
Weighted average interest rate is as of end of period.

 

6. Borrowings (Continued)

As of December 31, 2025, the expected maturities of our long-term borrowings are shown in the following table.

 

 

Expected Maturity

 

(Dollars in millions)

 

Senior
Unsecured
Debt

 

 

Secured
Borrowings(1)

 

 

Total

 

Year of Maturity

 

 

 

 

 

 

 

 

 

2026

 

$

—

 

 

$

3,722

 

 

$

3,722

 

2027

 

 

699

 

 

 

3,695

 

 

 

4,394

 

2028

 

 

514

 

 

 

3,224

 

 

 

3,738

 

2029

 

 

947

 

 

 

3,389

 

 

 

4,336

 

2030

 

 

526

 

 

 

3,138

 

 

 

3,664

 

2031-2050

 

 

2,096

 

 

 

18,722

 

 

 

20,818

 

Total before hedge accounting adjustments

 

 

4,782

 

 

 

35,890

 

 

 

40,672

 

Hedge accounting adjustments

 

 

(23

)

 

 

(16

)

 

 

(39

)

Total

 

$

4,759

 

 

$

35,874

 

 

$

40,633

 

 

(1)
We view our securitization trust debt as long-term based on the contractual maturity dates. However, we have projected the
expected principal paydowns based on our current estimates regarding loan prepayment speeds for purposes of this disclosure to better reflect how we expect this debt to be paid down over time.

Variable Interest Entities

We consolidated the following financing VIEs as of December 31, 2025 and 2024, as we are the primary beneficiary. As a result, these VIEs are accounted for as secured borrowings.

 

 

December 31, 2025

 

 

 

Debt Outstanding

 

 

Carrying Amount of Assets Securing
Debt Outstanding

 

(Dollars in millions)

 

Short
Term

 

 

Long
Term

 

 

Total

 

 

Loans

 

 

Cash

 

 

Other
Assets, Net

 

 

Total

 

Secured Borrowings — VIEs:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Private Education Loan
   securitizations

 

$

469

 

 

$

10,250

 

 

$

10,719

 

 

$

11,960

 

 

$

364

 

 

$

127

 

 

$

12,451

 

FFELP Loan securitizations

 

 

109

 

 

 

25,302

 

 

 

25,411

 

 

 

25,942

 

 

 

950

 

 

 

1,096

 

 

 

27,988

 

Private Education Loan ABCP
   facilities

 

 

1,942

 

 

 

—

 

 

 

1,942

 

 

 

2,173

 

 

 

68

 

 

 

44

 

 

 

2,285

 

FFELP Loan ABCP facilities

 

 

1,869

 

 

 

299

 

 

 

2,168

 

 

 

2,115

 

 

 

84

 

 

 

108

 

 

 

2,307

 

Total before hedge accounting
   adjustments

 

 

4,389

 

 

 

35,851

 

 

 

40,240

 

 

 

42,190

 

 

 

1,466

 

 

 

1,375

 

 

 

45,031

 

Hedge accounting adjustments

 

 

—

 

 

 

(16

)

 

 

(16

)

 

 

—

 

 

 

—

 

 

 

(75

)

 

 

(75

)

Total

 

$

4,389

 

 

$

35,835

 

 

$

40,224

 

 

$

42,190

 

 

$

1,466

 

 

$

1,300

 

 

$

44,956

 

 

 

December 31, 2024

 

 

 

Debt Outstanding

 

 

Carrying Amount of Assets Securing
Debt Outstanding

 

(Dollars in millions)

 

Short
Term

 

 

Long
Term

 

 

Total

 

 

Loans

 

 

Cash

 

 

Other
Assets, Net

 

 

Total

 

Secured Borrowings — VIEs:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Private Education Loan
   securitizations

 

$

631

 

 

$

10,338

 

 

$

10,969

 

 

$

12,054

 

 

$

335

 

 

$

113

 

 

$

12,502

 

FFELP Loan securitizations

 

 

41

 

 

 

28,268

 

 

 

28,309

 

 

 

28,983

 

 

 

901

 

 

 

1,211

 

 

 

31,095

 

Private Education Loan ABCP
   facilities

 

 

2,274

 

 

 

—

 

 

 

2,274

 

 

 

2,584

 

 

 

75

 

 

 

66

 

 

 

2,725

 

FFELP Loan ABCP facilities

 

 

1,586

 

 

 

74

 

 

 

1,660

 

 

 

1,637

 

 

 

53

 

 

 

78

 

 

 

1,768

 

Total before hedge accounting
   adjustments

 

 

4,532

 

 

 

38,680

 

 

 

43,212

 

 

 

45,258

 

 

 

1,364

 

 

 

1,468

 

 

 

48,090

 

Hedge accounting adjustments

 

 

—

 

 

 

(183

)

 

 

(183

)

 

 

—

 

 

 

—

 

 

 

(244

)

 

 

(244

)

Total

 

$

4,532

 

 

$

38,497

 

 

$

43,029

 

 

$

45,258

 

 

$

1,364

 

 

$

1,224

 

 

$

47,846

 

 

6. Borrowings (Continued)

Secured Facilities and Unsecured Debt

Private Education Loan ABCP Facilities

We have various ABCP borrowing facilities that we use to finance our Private Education Loans. Liquidity is available under these secured credit facilities to the extent we have eligible collateral and available capacity. The maximum borrowing capacity under these facilities will vary and is subject to each agreement’s borrowing conditions. These include but are not limited to the facility’s size, current usage and the availability and fair value of qualifying unencumbered Private Education Loan collateral. Our borrowings under these facilities are non-recourse. The maturity dates on these facilities range from June 2026 to October 2026. The interest rate on certain facilities can increase under certain circumstances. The facilities are subject to termination under certain circumstances. As of December 31, 2025, there was approximately $1.9 billion outstanding under these facilities, with approximately $2.3 billion of assets securing these facilities. As of December 31, 2025, the maximum unused capacity under these facilities was $1.7 billion and we had $1.3 billion of unencumbered Private Education Loans.

Private Education Loan Repurchase Facilities

These repurchase facilities are collateralized by the net assets in previously issued Private Education Loan ABS trusts. The lenders also have unsecured recourse to Navient Corporation as Guarantor for any shortfall in amounts payable. Because these facilities are secured by the Residual Interests in previous securitizations, we show the debt as part of Private Education Loan securitizations in the various borrowing tables above. As of December 31, 2025, there was approximately $0.5 billion outstanding under these facilities.

 

FFELP Loan ABCP Facilities

We have various ABCP borrowing facilities that we use to finance our FFELP Loans. Liquidity is available under these secured credit facilities to the extent we have eligible collateral and available capacity. The maximum borrowing capacity under these facilities will vary and is subject to each agreement’s borrowing conditions. These include but are not limited to the facility’s size, current usage and the availability and fair value of qualifying unencumbered FFELP Loan collateral. Our borrowings under these facilities are non-recourse. The maturity dates on these facilities range from November 2026 to April 2027. The interest rate on certain facilities can increase under certain circumstances. The facilities are subject to termination under certain circumstances. As of December 31, 2025, there was approximately $2.2 billion outstanding under these facilities, with approximately $2.3 billion of assets securing these facilities. As of December 31, 2025, the maximum unused capacity under these facilities was $193 million and we had $83 million of unencumbered FFELP Loans.

FFELP Loan Repurchase Facilities

These repurchase facilities are collateralized by the net assets in previously issued FFELP Loan ABS trusts. The lenders also have unsecured recourse to Navient Corporation as Guarantor for any shortfall in amounts payable. Because these facilities are secured by Navient-sponsored instruments issued in previous securitizations, we show the debt as part of FFELP Loan securitizations in the various borrowing tables above. As of December 31, 2025, there was approximately $0.1 billion outstanding under these facilities.

Senior Unsecured Debt

We issued $500 million, $0 and $1.0 billion of unsecured debt in 2025, 2024 and 2023, respectively.

Debt Repurchases

The following table summarizes activity related to our senior unsecured debt repurchases.

 

 

 

Years Ended December 31,

 

(Dollars in millions)

 

2025

 

 

2024

 

 

2023

 

Debt principal repurchased

 

$

—

 

 

$

—

 

 

$

850

 

Losses on debt repurchases

 

$

—

 

 

$

—

 

 

$

(8

)

Historical Timeline

Fiscal YearFiled
2025Feb 26, 2026Showing above
2024Feb 27, 2025
2023Feb 26, 2024
2022Feb 24, 2023
2021Feb 25, 2022
2020Feb 26, 2021
2019Feb 27, 2020
2018Feb 26, 2019
2017Feb 26, 2018
2016Feb 24, 2017
2015Feb 25, 2016

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.

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